“Our strategy focused on maintaining a highly competitive price relative to our competitors. As a result, the property yielded a 400% increase in online revenues compared to last summer," said Jason Conway, Director of Revenue Management at Grand Crowne.
Branson, MO (PRWEB) September 28, 2010
LeisureLink, Inc, the leading distribution and revenue management platform for specialty lodging suppliers, today highlighted the revenue management success of Branson-based client Grand Crowne Resorts. Grand Crowne employs advanced tools to maximize rental income in online channels, and has built their processes on LeisureLink’s high performance technology, Active Revenue Management(ARM).
Grand Crowne’s sophisticated approach allowed the resort developer to succeed in significantly raising revenues, despite the weak economy. Grand Crowne’s strategy incorporates ARM, a unique system that uses "airline style" pricing to dramatically increase revenues at specialty lodging properties. ARM uses LeisureLink’s real time market data, advanced technology and a finely tuned local strategy to adjust market prices in real time.
The success of Grand Crowne’s strategy is illustrated by results at one of the developer’s properties, the Surrey Inn, which is located in the heart of Branson, Missouri. “We managed this property very aggressively, monitoring prices and consumer demand in real time,” said Jason Conway, Director of Revenue Management at Grand Crowne. “Our strategy focused on maintaining a highly competitive price relative to our competitors. As a result, the property yielded a 400% increase in online revenues compared to last summer. LeisureLink’s ARM system allowed us to select our competitors and manage our prices with virtually no effort.”
Heavy consumer demand from timeshare owners and the general public made managing revenue across Grand Crowne’s five properties in Branson particularly challenging during the summer season. Available inventory shifted on a moment by moment basis as owners booked the use of the properties. “Our owners come first,” said Conway. “This causes our availability to shift very rapidly, and necessitates constant adjustment to our market prices. The LeisureLink team worked with us to create automated rules that adjusted our rates based on fluctuations in our inventory and market demand.”
“Grand Crowne’s local market knowledge is critical to the success of the program. We can supply market data and technology, but there is no substitute for a local perspective,” said Steve Reich, Senior Vice President of LeisureLink. “Grand Crowne’s local market knowledge was used to identify seasonality, key dates in the market, and to provide perspective on local competition.”
“Our revenue management process is very data-driven. We have been able to build a picture of the market’s sensitivity to price changes, and use that profile to make decisions. In our market, small changes in average daily rates can have a dramatic impact on bookings. We decide whether or not to participate aggressively depending on our inventory level and the profit margins available to us. ARM takes it beyond that-it is about revenue and profitability,” said Conway.
Since Grand Crowne is a Vacation Ownership company, their revenue management program must also coordinate with their sales efforts. “Our program must be sensitive to protecting our brand and our relationship with our owners. LeisureLink’s ARM system allows us to put a floor under our prices in any market scenario. If market prices are so low that participation would damage our brand, ARM automatically holds our prices above the market,” added Conway.
“ARM delivered the market data and technology that we needed to execute a dynamic revenue management strategy in a challenging climate,” said Chuck Patton, Vice President of Marketing at Grand Crowne Resorts. "In addition, LeisureLink is not only a sophisticated technology company, but they are a comfortable company to work with - they know the timeshare business."
LeisureLink powers global distribution and demand for the specialty lodging industry. LeisureLink Major Market Access™ enables property management companies to market and distribute their vacation lodging products across thousands of travel Web sites, travel agents and other distribution channels. Over 1,500 vacation rental properties, timeshare resorts, condo hotels and boutique resorts throughout North America and Europe build their bookings through LeisureLink.
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Senior Vice President, Sales
About Grand Crowne Resorts
Grand Crowne Resorts is proud to be Branson’s only locally owned and managed Vacation Ownership Resort. We think you’ll agree that our condominiums are the finest in Branson! Grand Crowne Resorts began operations in 1981 as Surrey Vacation Resorts, Inc., when Owner, C.J. Perme purchased a twelve acre tract of land in Branson, Missouri. His construction company, L & J Consolidated Enterprises, began building the Townhouses at Surrey and since has established 6 more resort properties and over 1,000 fully furnished condominium-style units in Missouri and Tennessee.
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Grand Crowne Resorts
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